Blockchain in Banking

Abstract

Blockchain technology is one of the innovations in financial technology that serves as the backbone of Bitcoin and Cryptocurrency. A blockchain is a secure ledger of all data transfer activities that eliminate the need for third-party involvement. It is a technology that records transactions using distributed databases and cryptography. There are three types of blockchain which are public, private, and Consortium or Federated blockchain. Many industries have used blockchain technology. Blockchain in banking is one of the industries that use blockchain the most and need by the country and organization. Many use cases on blockchain in banking, such as Know Your Customer (KYC), clearing and settlement, trade finance, payments, smart contract, and syndicated loans. These use cases could see the impact of implementing blockchain in banking.